Mortgage Rates Steady Today

Mortgage rates held steady today after several days of it creeping higher. The range has been narrow enough to keep the most prevalently quoted top-tier rate between 4.125% and 4.25% for conforming, 30yr fixed loans. The market is currently fairly well split between the two depending on the program, fees, and scenario.

Janet Yellen finished her semi-annual congressional testimony this afternoon. Most of the significant news came out yesterday at the Senate, today she was at the House Financial Services Committee. Yesterday Yellen took a little heat for commenting specifically (bio techs and small caps) as being over-valued. The comment sent the two sectors down through yesterday afternoon, but today a little recovery. As the Fed is ending all QEs and implies it will not do it again, the conversation is changing to whether the Fed's actions will have serious future unintended consequences, manly inflation. Yellen did say inflation isn't a current concern but the Fed will monitor it very closely.

There are times when having to report on the Fed and the opinions of many different points of view becomes boring. So much ink, so much media, so many Fed officials and market analysts with varying outlooks. We will know wo had it correct a few years down the line; in the meantime investors and traders keep on keeping on buying stocks because there is nowhere else to go. The substance of the Fed policy - it certainly isn't helping the majority of citizens that can't get a raise, or a job that pays a living wage.

The 10yr held its support today at 2.57%, actually down today by 2 basis points at 3:00. MBS prices ending about unchanged.

In summary, it appears 2.57 is still holding strong as support as yields hit this level earlier today and bounced off just like it had done yesterday. We do get some pretty significant data in the morning which could move the markets in either direction. With lender pricing the same today as yesterday, I think cautiously floating overnight is the way to go, as long as you can tolerate the risk.